Berliant, Marcus and Fujita, Masahisa (2007): Dynamics of knowledge creation and transfer: The two person case.
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This paper presents a micro-model of knowledge creation and transfer for a couple. Our model incorporates two key aspects of the cooperative process of knowledge creation: (i) heterogeneity of people in their state of knowledge is essential for successful cooperation in the joint creation of new ideas, while (ii) the very process of cooperative knowledge creation affects the heterogeneity of people through the accumulation of knowledge in common. The model features myopic agents in a pure externality model of interaction. In the two person case, we show that the equilibrium process tends to result in the accumulation of too much knowledge in common compared to the most productive state. Equilibrium paths are found analytically, and they are a discontinuous function of initial heterogeneity.
|Item Type:||MPRA Paper|
|Institution:||Washington University in St. Louis|
|Original Title:||Dynamics of knowledge creation and transfer: The two person case|
|Keywords:||knowledge creation; knowledge transfer; knowledge externalities; endogenous agent heterogeneity|
|Subjects:||D - Microeconomics > D8 - Information, Knowledge, and Uncertainty > D83 - Search; Learning; Information and Knowledge; Communication; Belief
O - Economic Development, Technological Change, and Growth > O3 - Technological Change; Research and Development; Intellectual Property Rights > O31 - Innovation and Invention: Processes and Incentives
R - Urban, Rural, Regional, Real Estate, and Transportation Economics > R1 - General Regional Economics > R11 - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
|Depositing User:||Marcus Berliant|
|Date Deposited:||19. Sep 2007|
|Last Modified:||18. Feb 2013 08:53|
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